South Dakota Lawmakers Probe State Fraud, Push for Tighter Controls

Lawmakers addressed last year’s state government fraud cases in a recent Government Operations and Audit Committee (GOAC) meeting. DSS Secretary Matt Althoff acknowledged the damage from Lonna Carroll’s high-profile case, noting, “We’ve been a trusting society until that trust is betrayed.” The Department of Revenue, also hit by fraud, introduced safeguards like multi-personnel transaction approvals, VIP account alerts, and restricted system access. Revenue Secretary Michael Houdy emphasized, “Users only access tools and information needed for their job.” Committee Chair Taffy Howard stressed ongoing accountability, saying, “We ensure agencies implement controls to prevent future fraud.” The DSS awaits the BISON Audit System launch next year.